A Comprehensive Picture of Digital Video and TV Advertising

IAB Digital Video Ad Effectiveness Case Study 1

Viewing, Budget Share Shift, and Effectiveness

The study benchmarked how real TV schedules across key advertiser verticals perform as money moved to digital. To accomplish this, the research examined 18 real TV schedules across advertiser verticals. Categories included Consumer Packaged Goods (CPG), specifically Health & Beauty and Food & Beverage, as well as non-CPG verticals such as Technology, Automotive, Retail, Finance and Telecom. Findings pointed to various benefits from a 15 percent shift into digital:

  • thumb-dv-researchOn average, CPG reach grew 3.4 percent (3.4 reach points) among persons 18 and older (P18+) when 15 percent of ad spend moved into digital
  • In all other categories beyond CPG, schedules consistently averaged an incremental reach of 6.2 percent (or 6.2 reach points) at the same reallocation of 15 percent of budget to digital among P18+
  • Across verticals, the 15 percent share shift results in more reach at lower costs per point, dropping from an average of $67.6K to $63.0K
  • Corresponding CPMs decline from $13.82 to $12.31

Not only did shifting TV ad budget to digital result in increased reach, but that reach was more effective. The combination of digital advertising and television commercials was found to be a particularly potent mix, with duplicated reach shown to be more effective on key brand effect metrics than either platform alone. Research demonstrated that planning and running video ads online prior to TV boosts brand recall for that same ad playing on television by 33 percent. There were similar gains when it came to online display ads, with consumers 25 percent more likely to recall the brand if they had seen the display ad before seeing the ad on TV.

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